The Optimist #56

Thank you fellow readers to continue reading my research about Defi on the Optimism Superchain.

If you missed the previous newsletter, it’s just one click away from you HERE.

JPMorgan just said" “yield-bearing stablecoins will be growing from 6% to 50% of market share”, Wyoming state released its own stablecoin, WFLI launched its stablecoin, stablecoin marketcap doubles the last 12 months… This is the STABLECOIN ERA, and you should not fade it, nor $USDO from OpenEden.

🔥 Binance launched “CEX to DEX trades” where users can trade any token on DEX using their funds on CEX. Base is part of the 4 supported chain

🟡 Celo migrates from L1 to a L2 chain, part of the Optimism superchain

🔓 Plaza Finance opened up a pre-launch deposit campaign. Deposit $ETH and earn 20% APY in Plaza points

🌱 Superseed mainnet, "The first blockchain that repays your debt", is now live, and Velodrome announced its deployment overthere with Superseed approving $250-500K in incentives to boost liquidity on the DEX

🛂 OpenCover Base pass just got an upgrade including now 16 Defi projects (80% of Base TVL) & with cost reduced to 0.3%/month (-10% if deposit from CoinbaseOne)

🌍 Worldcoin started a builder incentive campaign of 300k$ for mini apps development

💿 Soneium just reached 100m$ TVL. ACS campaign powered by Astar Network also closed its season 4, to just launch season 5. Earn extra yield in $wASTR by providing liquidity & using the chain

🦸‍♂️ $USDT0 can now be transferred seamslessly between 8 superchain chains using Stargate stack (World, Base, Soneium, Swell, Mode, Lisk, OP mainnet, Ink)

📱 Depin project Worldmobile launched the 1st Layer 3 chain for Telecom, built on Base

🟣 $kBTC, Bitcoin derivative from Kraken, is now available on Velodrome / Ink chain with voting incentives incoming

⭕ Zero-fee perps is coming onto Avantis. Prepare to trade for free

Good work by BOB & Swell chains despite the current bloodbath on the crypto market.

Source: https://defillama.com/chains/Superchain?minTvl=1000000&maxTvl=

You keep hearing about RWA. You keep hearing about stablecoin. You keep hearing about RWA backed stablecoin and you keep fading it because it’s BORING!

Let me take 1 minute of your reading time to do some maths. So let’s say you have 10k$ worth of crypto. Money you don’t want to lose. Your two safest choices are:

1- Put that into $BTC or $ETH… let’s say you have 50% chance of getting +/- 20% at the end of 2025. But as you’re a safe investor, you only place 50% of your PF into that position. So your probability of making a gain of 10% is 50%.

2- Put 100% in a yield bearing stablecoin position, looking for 25% yield (something you can easily get right now). Your chance to make a gain of 25% is close to 100%

Now, think about how we are in a downtrend period, where patience is key. Which option will you choose?

RWA (without stablecoin) at ATH @ almost 20b$:

Stablecoin at ATH @ 230b$:

Which represents 1% of the money supply in USA:

Despite all the FUD, Ethereum is still THE stablecoin’s home, with Base reaching #6 position, and OP Mainnet at #10:

Base’s Stablecoin market cap with $USDZ is still growing, slowly but steadily with a great work to keep a value at -2% from Peg:

But, it seems that RWA is missing one recent stablecoin $USDO issued by OpenEden. Let’s get into it.

You may have heard about BUILD, the tokenized fund from Blackrock backed by Treasury Security Bill, TBILL. The only problem is that, this token is permissioned, which means that only whitelisted people can hold it, and thus cannot benefit from the Defi composability.

While OpenEden’s $TBILL is similar to BUIDL, their new stablecoin, $USDO and $cUSDO (wrapped version) is permissionless in the secondary markets and provides holders with yield from tokenized US Treasuries too.

$USDO can be minted & used on different Defi applications (we are going to dive in later on) on Ethereum & Base:

$USDO can be redeemed at all times back to 1 $USDC. It is a yield bearing stablecoin, with price increasing by 4%/year coming from Treasury security bill yield.

$cUSDO is the non-rebasing wrapped version of USDO optimized for DeFi composability. Instead of adjusting token balances, $cUSDO reflects yield through price appreciation.

OpenEden is currently surfing the stablecoin project hype and just launched their point program following a fund raise by YZI Labs (ex-binance labs):

The list of yield-bearing stablecoin is very long, with most of the projects valued at >1b$ (circulating supply):

And 2 very high profile people i’m following are farming it:

Last thing: $USDO market cap just crossed 50m$ according to Ouroboros dashboard, so you’re still pretty early if we consider that USD0 & USDe from Usual & Ethena crossed billions of $ during their 1st point program.

You have different options, and i have selected Base

1- Earn yield:

Enjoy 19% fixed yield on $cUSDO (+ the 4% underlying yield) by holding PT-cUSDO on Spectra: Link (No bills points though)

2- Earn points:

2.1 - Max multiplier: x10 points by holding YT-cUSDO tokens on Spectra: Link

2.2 - Leverage multiplier: x5 points + loop on Morpho:

• Swap $cUSDO on Base using Paraswap

• Deposit liquidity on Aerodrome : Link

• Supply LP token on Morpho market as collateral: Link

• Borrow $USDC, and repeat from the beginning

2.3 - 5x mutliplier: Just hold the above Aerodrome LP Token on your wallet, do not stake it

3- Earn yield & points:

3-1 Morpho: 6.5% APY + 3x points: Deposit $USDC in the Clearstar lending pool on Morpho: Link

3-2 Upshift curated by Ouroboros: 4% APY on $cUSDO + 3x BILLS points + 5x Upshift points

You can follow OpenEden Bills points program here:

For info, OpenEden shares with me that a Pendle pool is soon to be launched, so keep your notifications on at https://x.com/OpenEden_X.

And if you’re still here after these past bloody weeks/months, and you still have ammunition, congratulations. The Stablecoin narrative seems to be growing not only in crypto, and even a USA State is building their own stablecoin:

Earning yield while farming airdrop is the real goated position, and the 2 guys I quoted above usually have good tips, so it is worth watching while the market reverses and use your stablecoin to fill your bags. There will be plenty of opportunities, just wait until it’s the right time:

Finally, as DegenSpartan recently said:

Note: This post is not sponsored by OpenEden, but if you would like to use a referral code, I’ll be thankful if you can use mine: DlUMyuZmqm

https://portal.openeden.com/bills-campaign?refCode=DlUMyuZmqm

In order to increase my understanding on OpenEden, I looked into Nansen to check if any funds are playing the Bills points & holding $USDO or $cUSDO.

You can see above that >50% of $USDO holding on Ethereum are wrapped into $cUSDO.

10% of all $USDO is held by P2 Ventures & 3% by Infinity ventures.

With regards to $cUSDO, most of it is staked into Defi protocol:

• cUSDO/USDC => Curve finance pool

• Principal token cUSDO + Vyper_contract => Spectra Finance

Nothing much to add on this one. Interesting to see 2 liquid funds playing the Bills point campaign to acquire a share of this project.

That’s called PMF : Product Maket Fit

Disclaimer: Nothing in this content is financial advice. I may have some positions on the presented projects, however these articles are written in a non biais way so that you can make you own opinion out of it.

Do your own research before investing, and remember that Crypto is extremely volatile and risky. Be ready to loose everything you invest in.